TrendForce: Global Smartphone Production May Suffer Record Decline in Q2 2020

Global smartphone production could see a record fall of up to 16.5 percent in the second quarter of this year, according to the latest research by TrendForce.

iPhone Lineup 2020 SE

Global production for 2Q20 is now estimated to register another YoY drop of 16.5% to 287 million units, the largest decline on record for a given quarter. TrendForce forecasts total yearly production volume of 1.24 billion units, an 11.3% decrease YoY.

Worldwide smartphone production for the first quarter reportedly fell by 10 percent year on year to around 280 million units, the lowest in five years, due to disruptions across the supply chain caused by the global health crisis.

Prior to the crisis, TrendForce had expected Apple to once again reach yearly production of 200 million units, owing to the release of the new iPhone SE, four new models in the fall, and the phasing out of the popular iPhone 6s series by the seasonal smartphone replacement cycle.

767308001588153893
However, ‌iPhone‌ production fell by 8.7 percent year on year in the first quarter, reaching 37.9 million units, due to labor and material shortages following the post-Lunar New Year work resumption, which saw Apple ranked in third place in the global market.

Apple's recent launch of the low-priced ‌iPhone SE‌ is expected to see it stay relatively close to 1Q 2020 figures, reaching 36 million units. The higher price of Apple's next-generation flagship iPhones is said to be an ongoing concern, however, given that Apple's main smartphone sales are in Europe and the U.S., both of which are still grappling with the health crisis.

Apple is expected to offer four flagship iPhones in three different sizes later this year: A 5.4-inch ‌‌‌iPhone‌‌‌, a 6.7-inch ‌‌‌iPhone‌‌‌, and two 6.1-inch iPhones. One 6.1-inch model and the 6.7-inch model will be higher-end iPhones, while the other 6.1-inch ‌‌‌iPhone‌‌‌ and the 5.4-inch ‌‌‌iPhone‌‌‌ will be lower-end models and successors to the ‌‌iPhone‌ 11‌. Apple is expected to launch the new models in the fall.

Popular Stories

2024 iPhone Boxes Feature

Apple Changes Trade-In Values for iPhones, iPads, Macs, and More

Thursday January 16, 2025 6:45 am PST by
Apple today adjusted estimated trade-in values for select iPhone, iPad, Mac, and Apple Watch models in the U.S., according to its website. Some values increased, while others decreased. The changes were not too significant, with most values rising or dropping by $5 to $50. We have outlined some examples below: Device New Value Old Value iPhone 15 Pro Max Up to $630 U ...
iPhone 17 Slim Feature Single Camera 1 Redux

'iPhone 17 Air' Launching Later This Year With These 10 New Features

Wednesday January 15, 2025 7:16 am PST by
While the so-called "iPhone 17 Air" is not expected to launch until September, there are already plenty of rumors about the "ultra-thin" device. Overall, the "iPhone 17 Air" is shaping up to be a mixed bag. Due to its thinness, the device is expected to have some limited specifications compared to the iPhone 17 Pro models, including only a single rear camera, only a single speaker, no SIM...
Generic iOS 18

Everything New in iOS 18.3 Beta 3

Thursday January 16, 2025 12:39 pm PST by
Apple provided the third beta of iOS 18.3 to developers today, and while the betas have so far been light on new features, the third beta makes some major changes to Notification Summaries and also tweaks a few other features. Notification Summary Changes Apple made multiple changes to Notification Summaries in response to complaints about inaccurate summaries of news headlines. For...
Generic iOS 19 Feature Mock Light

iOS 19 Leak Reveals All-New Design

Friday January 17, 2025 2:42 pm PST by
iOS 19 is still around six months away from being announced, but a new leak has allegedly revealed a completely redesigned Camera app. Based on footage it obtained, YouTube channel Front Page Tech shared a video showing what the new Camera app will apparently look like, with the key change being translucent menus for camera controls. Overall, the design of these menus looks similar to...
Apple Card iPhone 16 Pro Feature

Three Companies Are Now in the Running to Take Over the Apple Card

Thursday January 16, 2025 8:18 am PST by
Apple is in talks with Barclays and Synchrony about becoming its new financial partner for the Apple Card, according to Reuters sources. The report today added that Apple has also been holding discussions with Chase Bank owner JPMorgan since last year, so there are at least three potential companies in the running to take over the Apple Card from current partner Goldman Sachs. Goldman...
iPhone 17 Pro Dual Tone Feature 1

iPhone 17 Pro Launching Later This Year With These 8 New Features

Thursday January 9, 2025 5:45 am PST by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. iPhone 17 Pro concept based on rumors Below, we recap key changes rumored for the iPhone 17 Pro models as of January 2025: More aluminum: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models ...
MacBook Air 15 Inch Feature Blue

MacBook Air Likely Apple's First Product Update of 2025: What to Expect

Wednesday January 15, 2025 8:49 am PST by
There is a good chance that Apple's first product announcement of 2025 will be updated 13-inch and 15-inch MacBook Air models with the M4 chip. Last month, Apple released macOS Sequoia 15.2, and in doing so it accidentally confirmed new MacBook Air models are coming this year (unsurprisingly). Bloomberg's Mark Gurman said the new MacBook Air models will be announced "earlier" than some...
iPhone 17 Pro Dual Tone Horizontal Single Feature

iPhone 17 Rumored to Feature Major Thermal Design Upgrade

Friday January 17, 2025 4:33 am PST by
The iPhone 17 lineup will feature a vapor chamber heatsink to improve thermal performance, according to a new report. The news comes from Chinese tech news site MyDrivers, which claims that the entire iPhone 17 lineup, consisting of the iPhone 17, iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max, will adopt the improved thermal heat spreader. Vapor chamber technology is already used...
HomePod mini and Apple TV

Apple Expected to Launch 20+ Products This Year: Here's the Full List

Friday January 17, 2025 5:30 am PST by
2025 promises to be quite a big year for Apple, with the company rumored to be planning more than 20 product announcements this year. Apple's rumored smart home hub will be its second all-new product to launch in as many years, following the Apple Vision Pro headset last year. And of course, we will get several new iPhone and Apple Watch models, like every year. Beyond that, Apple could...

Top Rated Comments

gnasher729 Avatar
62 months ago

But doesn't this prediction come around every year? Granted we're in the middle of a pandemic and there's record unemployment right now, but people will be staying home and will want to stay connected. Depending on the features of the upcoming iPhones, and how they're marketed, I could see many people getting them (especially with the push to 5G).
Usually when people get unemployed they spend nothing that doesn't have to be spent. So the ones that buy an iPhone are the ones whose phone got stolen or damaged or stopped working. If I don't know when the next pay cheque comes, an old iPhone 6 works just fine.
Score: 3 Votes (Like | Disagree)
Wanted797 Avatar
62 months ago
Well... I’ll be damned.
Score: 2 Votes (Like | Disagree)
CarpalMac Avatar
62 months ago
May? I'll go wild and predict "Will".
Score: 2 Votes (Like | Disagree)
filmbuff Avatar
62 months ago
2020 the year of record breaking! Record unemployment! Record decline!
Score: 2 Votes (Like | Disagree)
Gutwrench Avatar
62 months ago
Color me shocked. Shocked, I say.
Score: 2 Votes (Like | Disagree)
Dwalls90 Avatar
62 months ago

Usually when people get unemployed they spend nothing that doesn't have to be spent. So the ones that buy an iPhone are the ones whose phone got stolen or damaged or stopped working. If I don't know when the next pay cheque comes, an old iPhone 6 works just fine.
Couldn't agree more.

An iPhone can easily last 4-5 years (and is fully supported as long by Apple), so unless someone's phone is on its last legs, folks that are unemployed and are struggling to put food on the table for themselves and their family aren't considering buying the latest smartphone tech.

The recession is barely upon us yet. We've only seen the tip of the iceberg of the amount of folks that will be furloughed, unemployed, or working with a reduced salary. As that situation continues to worsen, the % of the population impacted negatively economically from COVID-19 will dwarf any % reduction of smartphone production.
Score: 1 Votes (Like | Disagree)